Canada : Financial Sector Assessment Program-Detailed Assessment of Observance-Basel Core Principles for Effective Banking Supervision.

Format:

Book

Government document

Author/Creator:

International Monetary Fund. Monetary and Capital Markets Department.

Series:

IMF Staff Country Reports; Country Report ; No. 2025/235

IMF Staff Country Reports

Language:

English

Physical Description:

1 online resource (427 pages)

Other Title:

Canada

Place of Publication:

Washington, D.C. : International Monetary Fund, 2025.

Summary:

This paper focuses on Canada’s Detailed Assessment of Observance—Basel Core Principles for Effective Banking Supervision report. Banking supervision in Canada is well-functioning and mature, overseeing a complex, concentrated and large banking system. Office of the Superintendent of Financial Institutions’ (OSFI) new supervisory framework is sound and fit for purpose, but supervision could be more intrusive through more frequent and deeper on-site reviews, notably on banks’ risk measurement models and on testing the effectiveness of banks’ risk management and internal control policies. The sanctioning framework for anti-money laundering and countering the financing of terrorism is a weak instrument to induce compliance and the supervisory framework suffers from severe resource constraints to supervising high-risk entities. Canada acknowledges the importance of rigorous, ongoing supervisory review work. OSFI will consider the IMF’s position that further increasing the frequency and intensity of prudential reviews would enhance supervisory outcomes, mindful of the resilience evident in the Canadian financial system.

Notes:

Description based on print version record.

ISBN:

979-82-290-2204-0